Alexis and Robert are minority shareholders of Dan Corp. The corporation was defrauded by a smooth talking criminal, Smith, in the amount of $5,000,000. However, the BOD decided not to bring suit against Smith. Do the shareholders have any recourse available to them to recoup the money?
1) Yes, via a shareholders derivative lawsuit
2) Yes, but only if the BOD acts within 90 days, 90 Day Rule, of the fraud
3) No, but only because the BOD did not bring suit
4) No, they are screwed